“South African companies need to revisit their risk management policies in the wake of the global recession, say corporate governance experts”.
“More focus has also been placed on the role of risk management due to the report of the King Committee on Corporate Governance in SA, in which its chairman, Mervyn King, points out that accountability and transparency (of the board) are paramount”.
Representatives of the South African government, business and the trade unions responded to the international economic crisis on 19 February 2009 with a “Framework of Action”. The framework deals in part with what are called Employment Measures, and uses the word ‘retrenchment’ without fully appreciating its negative connotation. Although the term appears nowhere in our labour legislation its frequent use, especially by the drafters of the Framework, is unfortunate because the focus ought to be on saving jobs, not regulating their destruction.